A
recent report by the International Telecommunication Union (ITU) titled
"Collaborative Regulation: Accelerating Nigeria's Digital
Transformation" highlights Nigeria's progress in embracing a clear digital
agenda and collaborative mindset to drive digital transformation.
The
report, developed by the ITU's Regulatory and Market Environment Division (RME)
of the Telecommunication Development Sector (BDT), with the support of ITU
Regional Office for Africa, emphasizes the importance of collaborative
regulation in accelerating digital transformation.
Dr.
Cosmas Luckyson Zavazava, Director of the Telecommunication Development Bureau
(BDT) and ITU, noted that country reviews like this report are essential tools
for regulators and policymakers. They help create an environment that promotes
investment, competition, digital innovation, protects consumers, and ensures
the benefits of digital transformation are widely shared.
The
report highlights Nigeria's institutional, policy, and regulatory frameworks,
which demonstrate a commitment to a clear digital agenda. It also notes the
importance of collaborative digital governance, awareness among stakeholders,
and implementation, monitoring, and evaluation to ensure effective execution of
Nigeria's digital transformation strategy.
As a
regional leader and G4 regulator, Nigeria has the opportunity to become a
leading G5 country, embracing policy cohesion and lean governance. By adopting
best practice regulatory principles and continuing the implementation of good
regulatory design principles, Nigeria can unlock the potential of digital
transformation to deliver on its national development agenda.
The
report's recommendations, combined with the adoption of ITU GSR-20 Best
Practice Guidelines, will propel Nigeria towards the 'gold standard of digital
regulation', cementing its position as a leader in the region and driving
progress on its regulatory journey.
However,
the report also identifies key constraints to the expansion of high-speed
Internet in Nigeria, including the underdeveloped national backbone network.
Despite the existence of 60,000 km of fibre optic networks, only 28% of the
population is within a 10 km range of a fibre optic node.
The
report notes that effective market failure in rural areas, high costs of
operation, and lack of reliable grid electricity supply reduce the viability of
services. On the demand side, constraints include low consumer incomes, high
price sensitivity, low digital literacy, and lack of local content.
The
digital literacy gap is a significant concern, as it excludes the poorest from
the benefits of the digital world. As a result, Internet penetration in Nigeria
is well below global standards, although it compares favourably to the rest of
the Africa region.
To
address these challenges, the report recommends collaborative regulation,
investment in digital infrastructure, and initiatives to improve digital
literacy and local content. By adopting best practice regulatory principles and
continuing the implementation of good regulatory design principles, Nigeria can
unlock the potential of digital transformation to deliver on its national
development agenda.
By: Nana Appiah Acquaye